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Dealer loyalty?

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  #31  
Old 12-29-2010, 10:35 PM
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This is a bit long so bear with me here. About a year ago I sent an email to every HD Dealer within about 100 miles of me, with an offer to buy a very specific bike. In the email I offered 15% over Dealer Invoice. This was an all Cash offer. In the end I had three dealers who met my offer and two of them actually exceeded it. So the offer I made was definately acceptable to at least three dealers. In the end I bought the bike from the dealer who was closest to me. Prior to my email I had visited the very same three dealers who ultimately made me the best offers. Their showroom floor sales people were strictly MSRP+ when I was there in person. So it literally pays to shop on-line. My savings came to well over $2,000 by shopping this way.

Of the dealers who replied to my email offer, three of them wrote emails that reflect their manner and philosophy of doing business. If I cared, I would let them know that emails are FOREVER! I have removed the Dealer's names to protect the guilty as it were. But they make for humorous reading and I'm sure no one here will be too surprised at the attitude. Maybe surprised at the foolishness of writing such stuff in an email, but probably not surprised by the attitude. For some reason I don't believe that I will ever grace the door of these three dealers . . .

========== / / / / / ==========


Dealer # X:
I received your e-mail about purchasing a new bike. Your offer is not reasonable to me so I must decline. We do not conduct our business in this manner, I am sure you can appreciate that bad business is worse than no business. We do not participate in theatrical sales practices, so if you want to buy a Harley Davidson for the figure that you listed unfortunately we are not the dealer for you. Please feel free to contact me if you want this bike at a price that is a win for the both of us.

Dealer # Y:
Thank you for you email and offer for the Heritage Classic. I am the owner of XXX Harley-Davidson, and as I appreciate your knowledge of our business, your offer does not begin to be reasonable from a profit standpoint, nor does it take into consideration the level of customer experience we provide at XXX HD. I am not sure if you are a first time Harley buyer or a person from the car industry. We are definitely not in the same boat as the car industry. Our January sales were up forty percent, and December, November and October, also experienced sales increases. That along with much smaller inventories, because of the right decision by corporate to keep supplies short (unlike the auto industry), which strengthen the brand, we don't find it necessary to diminish our great brand by mass discounting. Factually, the bike that you are looking for, a Black Heritage 2010, is in short supply, we only have one, and in the district of 14 dealers, there is a handful. So taking the automotive approach in your negotiations is really is not the right tactic. Also, if you are familiar with our business, you must know that you will get your best deal in person, not over the phone or by email. If you bring me your best deal, IN Writing, on a dealers letterhead quotation, I will beat it. But, without a personal visit, we can't do business. We are not in the desperate state, like some in the auto industry are. We enjoy short supply, which helps us maximize profits and enables us to give the best customer experience. If you have never been to our facility, I invite you down for a personal tour, to show you what we do and what we have to offer. This is not like buying a car. When you buy a Harley, you buy into a lifestyle. If that's not what you are looking for, I would reconsider your expectations. Again, I would love to have your business, but your offer doesn't begin to cover basic costs, nor does take into consideration the daily cost of running a customer experience oriented operation. If you end up buying from us, or you decide to buy another brand, I wish you will on two wheels.

Dealer # Z:
I do not understand your reference to a "process". Unless you are referring to "King of Cars" on the Discovery Channel ? Or Cal Worthington Ford, with his pet dog Spot ? (We are, after all, located in the vicinity of XXX ). But be that as it may, we sell Harley Davidson and XXX Motorcycles...not used cars. That means high end products to high end consumers. No games, and no messin' around. At the risk of sounding sarcastic, which is truly NOT my intent, the only way I can possibly help you acquire the bike you want is by referring you directly to the Harley-Davidson Motor Company in Milwaukee. Another viable alternative is to acquire a dealership of your own. But then, you will have additional overhead...including INTERNAL BUSINESS COSTS for PREPPING THE BIKE, as well as paying your SALES STAFF and your DMV and F&I OFFICE STAFF etc etc. We don't respond too well to being told what a "Fair Profit For Our Business" would be. We are confident that when you think more about it, your idea of a "Fair Dealer Profit" will most likely change
 
  #32  
Old 12-29-2010, 11:10 PM
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Okay Bluehighways,,,,,that was interstesting reading but now I am curious on what the email you wrote to them with your offer looked like.

Dealer Z was really a fun one to read.
 
  #33  
Old 12-29-2010, 11:32 PM
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Originally Posted by hdtwice
Okay Bluehighways,,,,,that was interstesting reading but now I am curious on what the email you wrote to them with your offer looked like.

Dealer Z was really a fun one to read.
So I said "OK you slime buckets, I want a bike I want it cheap, I want it now, and it better be perfect and, and, and . . ."

Actually, fair enough. The text of email follows. The Bike I bought also came with the fancy Chrome Rims which was a nice option but one I didn't want to pay extra for. So they were included at no charge in my purchase. Also a 20% discount on all parts purchased or ordered and paid for at the time of sale.

========== / / / / / ==========

To the Sales Manager:

I am a serious buyer seeking to purchase a new Harley Davidson Motorcycle this weekend.

Who I am:
* Cash buyer
* No Trade-in

What I will purchase:
* Model Year: 2010
* Model: FLSTC Heritage Softail Classic
* Color: Black
* Options: H-D Factory Security System and the California Emissions Charge

I know what your costs are and I believe you need to make a fair profit for the service that you provide.

I wish to complete this transaction at a price that is reasonable to me.
* My offer is: $15,007.50


My offer includes the following
* Your cost for the motorcycle
* Shipping/Freight
* Dealer Preparation, Setup, etc.
* California Emissions Charge
* Harley-Davidson Security System
* A fair profit for your business

My above offer does not include and I will pay for:
* State Sales Tax
* State Title and Document fees

If you accept this offer I will buy the motorcycle from you.

Regards,
 
  #34  
Old 12-29-2010, 11:41 PM
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When I bought my Road King I went into the dealership with a preprinted offer done on Excell with a complete breakdown of what I was willing to pay (I really had fun doing it). It really hung up the salesman. Even though I didn't get the deal I originally offfered, knowing every aspect saved me some serious cash. There wasn't a hidden anything they were able to get me on. The best part was unloading a 2008 Vulcan 900 for $540 more than it bluebooked out and it had just under 21K miles on it.
I totally see it as a business deal with no emotions and no aversions attached. They had the bike and I had the dough. I expected their loyalty while they jockied for mine. The dealer I bought the bike from is 81 miles away and I've not been back since. I do my current maintenance and parts at my local dealership. So long as they treat me right, I'll keep going back. The salesman is not my riding buddy and the mechanic is not my cousin. We just simply treat each other with respect and it works out well for me.
I used to teach TQM (Total Quality Management) in the Air Force. Quality is defined as meeting customer's expectations or requirements. Knowing that is very empowering.
 

Last edited by Motorbones; 12-29-2010 at 11:45 PM.
  #35  
Old 12-30-2010, 02:22 AM
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Well, I live 6 blocks from my local dealer. I have bought 3 bikes from them, & they always treat me right. They all know me by name,and their prices are fair & they will deal. When I need service, I drop off my bike & walk home. Never need an appointment, and it's ALWAYS ready the same day. AND, they own 2 other dealerships in the general area, so if they don't have a part, one of the others always do & they get it over to me the same day. Gotta love 'em.
 
  #36  
Old 12-30-2010, 07:45 AM
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Bluehighway;
Thanks for posting your email to the dealers. Your offer seems pretty staight forward so what is dealer Z referring to when he speaks of your email and the "process"?

Also,just an after thought since the deal is done; since you made it clear in your emails that you are making an offer, what if several dealers agreed to that exact offer? Seems to me you would have been legally bound to your offers if they did not counter offer with different terms. I know that is not the case here but just kinda thinking out loud about that. I believe I am right and in the future that could get someone in some serious buying trouble.
Anyway, glad it worked out for you.
 
  #37  
Old 12-30-2010, 07:55 AM
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It's business dude. If you get a better deal on the bike you want elsewhere, then before you buy, give your favorite dealer a chance to match the price. I think that's fair.

It's a good idea to get a print out of what you will pay from the competitor, otherwise the guy you want to buy from might call "bullshit."

If they pull some Mickey Mouse Club bullshit and "shun" you, or otherwise act pissy when you pull the trigger on a deal at another shop it's their loss. All Bike's need service and parts, and thats where the real money is over time when it comes to customer loyalty.

It's a two way street. You can be loyal to them as long as they are loyal to you.
When I can't find the part I want from my dealer, he looks it up at a competitor for me, without me asking. I am lucky that way, and unlucky in that they are the dealership an hour from my house. The guys 10 minutes from my place are total "used Car Salesman" types who don't deserve my return business.
 
  #38  
Old 12-30-2010, 08:05 AM
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I have 6 dealerships within an hour of me. I am a HOG member at the closest dealer to me. A month ago we started shopping for a Deluxe for my wife. She had a Nightster we were trading in that she was upside down on because there was a special reduced payment offer from Eagle Leasing (told her not to do it ...that's another story). We started with a dealer that I bought my bike (Heritage) from. They were offering '10's w/ a shield and Bags for $15,500 and were willing to pay her bike off. Our HOG sponsoring Dealership was $2K more and weren't willing to payoff her bike. They rolled out a gorgeous used deluxe, 2 tone White Gold Pearl and Charcoal...the color combo she wanted. All of the chrome was pitted and they wanted $13, 500 and wouldn't stand by the pitted chrome that would eventually need to be replaced.

Long story short (I know...too late) we ended up buying from a third dealership who had the exact bike she wanted and made a deal that was fair to everyone. We heard thru the grapevine that the HOG sponsoring dealership was less than pleased. We confronted the sales manager laid out the #'s and asked what he would have done. We also pointed out that had we bought the pitted bike we would eventually have become unhappy customers. We give them our servicing business and accessories. He had the good sense to see the value of keeping that business.

At the end of the day I'm in the business of keeping as much of my $ in my pocket as possible. They are in the business of separating me from my $. I'm in sales and if someone doesn't buy from me there was an unmet need in my offer. All I ask my customers is the opportunity to beat the best offer they have which includes the product and service they receive from me.
 
  #39  
Old 12-30-2010, 08:35 AM
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This is not like buying a car. When you buy a Harley, you buy into a lifestyle.
wow! a dealer actually said that? Man, they must think harley davidson customers are a bunch of idiots.

If I want to live a certain lifestyle, I'll just live it. I don't need a special brand of bike or a tshirt to do so.

it's enough to make me buy a victory next time.
 
  #40  
Old 12-30-2010, 09:10 AM
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They are a retail business, you are a consumer. Buy where ever you please at what price you can find. Lifestyle BS, territory retribution, salespeople living the glory days of take it or leave it will almost certainly continue to weed-out the weak. If any business treats me in anyway as anything but a valued customer, they do not get my hard earned cash.

My approach a few years ago buying new was a bit different. I used phone, email and visits to several dealers. I did not offer any advice on "fair business" or even an amount up front nor mention of finance/cash. Simply year/model desired, initial equipment upgrades and what their offering would be. Received 3 in-the-trash bids, 1 maybe and 2 very strong (to me) prices OTD. I could care less where they put the peanuts or the popcorn, just my bottom line.

Not one back in 08 tried to sell me "the lifestyle" or educate me on running their business. That to me would be the sign to run, not walk away.
 


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